Mon, 30 Sep 2002

Legislators demand probe into House bribe scandal

Kurniawan Hari, The Jakarta Post, Jakarta

Politicians are calling for police to investigate bribery allegations rocking the House of Representatives and the Indonesian Bank Restructuring Agency (IBRA) in connection with the planned sale of Bank Niaga.

The secretary of the National Awakening Party (PKB) faction in the House, Amin Said Husni, and Indira Damayanti Sugondo of the Indonesian Democratic Party of Struggle (PDI Perjuangan) said an inquiry was needed to highlight any criminal acts.

"The police must be proactive in a carrying out an inquiry into this case because there is strong resistance from the House to clarify this matter," Indira told The Jakarta Post by phone on Sunday.

Amin concurred and said a police investigation could be conducted simultaneously with the House establishing a honor council to deal with the case.

A honor council would deal with the political aspect, while the police inquiry would serve the legal aspect, he said.

"This case has tarnished the House, that is why we need legal action," Amin added.

Both legislators were commenting on alleged US$1000 bribes offered to legislators on House Commission IX for finance and banking affairs in connection with the proposed sale of 51 percent of Bank Niaga.

The alleged bribe was first unveiled by Indira and fellow PDI- Perjuangan legislator Meliono Suwondo who revealed they had been offered $1,000 by IBRA officials but refused it.

IBRA officials admitted offering the money but said it was to ensure the sale process ran smoothly.

Kwik Kian Gie, chief of PDI Perjuangan's Center for Research and Development, said that some legislators of his party were allegedly involved in forcing other legislators to take the bribes.

The House has been telling IBRA that it will agree to sell Bank Niaga if the value is two times bigger than its book value. Sole bidder Malaysia-based Commerce Asset-Holding Bhd has offered Rp 26.5 per share.

Although the value is bigger than IBRA's expectation of Rp 24.8, that is only 1.45 times the book value. The negotiation that had been proceeding in the past two years, prompted IBRA to offer a bribe.

Indira said she would possibly receive much more money if she accepted the offer.

She added that the issue of bribes in the House was not new, but unfortunately no action had been taken to deal with the evil practice.

State Audit Agency (BPK) Satrio Budihardjo Joedono also called on police to probe the scandal.

He added the police could quickly handle the case because there were some legislators who had confessed.

"If we find irregularities in state finance, we report to police. In this alleged bribe case, it has been revealed so the police can handle this matter," he was quoted by Antara as saying.

Political analyst and a member of the General Elections Commission (KPU) Hamid Awaluddin shared a similar opinion.

"The police should take the initiative in this case. The House should also set up a committee of ethics to deal with corrupt practices," Hamid told the Post.

Earlier, People's Consultative Assembly (MPR) speaker Amien Rais and convicted-fraudster Akbar Tandjung, the speaker of the House of Representatives, expressed agreement with a police inquiry.

Police have so far taken no action.